Outlook for Private Markets

Apollo

Research

69 Pages

Apollo Global Management examines how a “higher for longer” interest rate environment is reshaping private markets across asset classes. The report outlines how elevated financing costs and tighter liquidity are slowing fundraising, moderating deal activity, and raising the bar for returns, while long-term investors continue to shift toward private credit and infrastructure for yield and inflation protection.

Key Takeaways

Private market slowdown: Global private capital fundraising has fallen sharply since 2022, with private equity and venture capital particularly affected.
Credit resilience: Private credit AUM has risen to $1.5 trillion globally, supported by rising spreads and reduced bank lending capacity.
Infrastructure strength: Real assets and infrastructure funds now account for over half of real asset fundraising, underscoring demand for inflation-linked income.

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